Bitcoin price holds below 90,000 as markets await Federal Reserve decision

The token was around $87,900, down nearly 4% over the past seven days, according to The Block’s price data. Bitcoin has fallen more than 10% from a mid-January peak near $97,850 as momentum cooled after an early January rally.

Glassnode wrote in its Market Pulse report that spot volumes have stabilized but remain subdued, pointing to consolidation rather than a decisive trend move. The firm also flagged more defensive conditions across spot, derivatives and onchain indicators, citing persistent sell-side pressure and higher demand for hedging.

Flows have also softened. Global crypto exchange-traded products recorded $1.7 billion in outflows last week, The Block previously reported. U.S. spot bitcoin exchange-traded funds posted five consecutive days of net outflows, with more than $1.3 billion leaving the funds during that period.

Derivatives markets have reflected the near-term caution. Bitfinex analysts noted a steepening in short-dated implied volatility, which they linked to event-driven hedging, while longer-dated implied volatility was little changed. Traders are also focused on the Federal Open Market Committee meeting on 28 January 2026, with the CME FedWatch Tool showing a 97% probability of no rate change, and Polymarket pricing a 99% probability for the same outcome.